Driven by the overnight upward movement in rebar futures, spot prices in most markets edged up by 10-20 yuan/mt today, with overall transaction volumes remaining moderate.
Supply side, blast furnace steel mills are generally incurring losses per mt of rebar, limiting their production enthusiasm. At multi-product steel mills, hot metal is being prioritized toward other steel products, while EAF steel mills are mostly maintaining mid-to-low production levels. Overall, supply pressure for construction steel remains relatively small. Demand side, trading activity in some markets was moderate today, but transactions became more difficult after the price increase, with end-users mainly purchasing on a just-in-time basis. In summary, the market is currently in a macro vacuum period, with no prominent supply-demand imbalance and insufficient upward momentum. Meanwhile, with steel mills incurring losses per mt, bottom-level price support remains relatively solid. Short-term prices are expected to consolidate.


![[Domestic Iron Ore Brief] Prices in west Liaoning may stay in the doldrums, but downside is limited](https://imgqn.smm.cn/usercenter/VhIgs20251217171719.jpg)

